TRACXNNSE8 February 2023

Tracxn Technologies Limited has informed the Exchange about Investor Presentation

Tracxn Technologies Limited

TRACXN TECHNOLOGIES LIMITED (Formerly Known as “Tracxn Technologies Private Limited”)

February 08, 2023

To, To, BSE Limited National Stock Exchange of India Ltd. Phiroze Jeejeebhoy Towers, Exchange Plaza, Plot no. C/1, G Block, Dalal Street, Mumbai- 400001 Company Code: 543638

Bandra-Kurla Complex, Bandra (E), Mumbai - 400051 Company Code: TRACXN

Sub: Intimation of Investor Presentation for the quarter ended December 31, 2022

This is in continuation to our letter dated February 01, 2023 wherein we had informed regarding an Earnings Call scheduled with Analysts / Investors on Wednesday, February 08, 2023 at 6:00 P.M. (IST) to discuss the financial results for the quarter and nine months ended December 31, 2022 (Q3 FY2023 Results).

Pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, please find enclosed herewith the Investor Presentation for the said Earnings Call.

This is for your information and records.

Thanking you.

Yours faithfully, For Tracxn Technologies Limited

Pranav Koranne Interim Company Secretary cum Interim Compliance Officer

Encl.: A/a

Registered Office Address: No. L-248, 2nd Floor, 17th Cross, Sector 6, HSR Layout, Bengaluru, Karnataka, 560102 Ph: +91 90360 90116, Email: hi@tracxn.com, Website: www.tracxn.com CIN: L72200KA2012PLC065294

Private Market Intelligence Platform

Q3 & 9M FY23 Investor Presentation 8th February 2023

Disclaimer

By attending this presentation including the commentary by the Company management and the transcript of the same, together (“Presentation”) and/or accepting a copy of it, you agree to be bound by the foregoing limitations and conditions:

This Presentation is prepared by Tracxn Technologies Limited (“Company”) solely for information purposes and does not constitute an offer, solicitation, recommendation, or invitation to purchase or subscribe for any securities and shall not form the basis of or be relied on in connection with any contract or binding commitment whatsoever. This Presentation does not consider, nor does it provide any tax, legal, or investment advice or opinion regarding the specific investment objectives or financial situation of any person. This Presentation may not be copied, reproduced, summarised, disseminated, or redistributed to any other person in any manner whatsoever without the Company’s prior consent in each instance. This Presentation has not been and will not be reviewed or approved by any regulatory authority or by any stock exchange in India. No rights or obligations of whatsoever nature are created or shall be deemed to be created by the contents of this Presentation.

The Company, its affiliates, shareholders, directors, employees, or advisors do not make any representation or warranty, expressed or implied, and no undue reliance should be placed on the accuracy, fairness, or completeness of the information contained in this Presentation. The Company, nor any of its advisers or representatives accepts any liability whatsoever for any actual or consequential loss or damages howsoever arising from the provision or use of any information contained in this Presentation. The information contained in this Presentation should be considered in the context of the situations prevailing at the time when the Presentation was made and are to be read in conjunction with the company’s financial results, uploaded on the Stock Exchanges where the Company is listed. The Company expressly disclaims any obligation or undertaking to supplement, publicly amend or disseminate any updates or revisions to any information/statement contained in the Presentation to reflect any change in events, conditions, or circumstances including economic, regulatory, market, and other developments on which any such information is based.

This Presentation may contain, words or phrases that are forward-looking statements that involve risks and uncertainties and are based on certain beliefs, plans, and expectations of the Company. Although the Company believes that such forward-looking statements are based on reasonable assumptions, it can give no assurance that such expectations will be met. Actual future performance, outcomes, and results may differ materially from those expressed in forward-looking statements because of several risks, uncertainties including but not limited to our ability to implement our strategy successfully, the market acceptance of and demand for our offering, technological changes, volatility in global capital markets, pandemic and international and domestic events having a bearing on the Company’s business. You must not place undue reliance on these forward-looking statements, which are based on the current views of the Company’s management.

The operating metrics reported in this Presentation are calculated using internal Company data based on the operational activities. While these numbers are based on what the Company believes to be reasonable estimates for the applicable period of measurement, there are inherent challenges in measuring across some operational metrics. The methodologies used to measure these metrics require considerable judgment and are also susceptible to an algorithm or other technical errors. The Company systematically reviews its processes for calculating these metrics from time to time and may discover inaccuracies in the metrics or may make adjustments to improve their accuracy, which can result in adjustments to previously disclosed metrics. In addition, the Company metrics may differ from estimates published by third parties due to differences in methodology.

To facilitate understanding, some non-GAAP metrics are used and financial amounts are converted from ₹ Lakhs into ₹ Crores for this Presentation hence, there could be some totalling anomalies in the numbers.

Tracxn Overview

Tracxn is a Data & Software platform for the Private Markets globally

We work with Venture Capital Firms, Private Equity Firms, Investment Banks - as well as M&A & Innovation teams of large Corporates

Global Platform, customers span 50+ countries

Q3 & 9M FY23 Financial Performance

Q3 FY23: Financial Performance Summary Continued growth of revenue & profitability, increasing FCF

REVENUE

PROFITABILITY

OTHER

Revenue from Operations

20.3 Cr.

23% YoY

Total Income

21.0 Cr.

25% YoY

EBITDA excl IPO Expense1 0.8 Cr.

5% YoY

PAT excl IPO Expense1 1.4 Cr.

27% YoY

EBITDA Margin excl IPO Expense1 3.9%

Margin reduced by 0.7% YoY

PAT Margin excl IPO Expense1 7.1%

Margin expanded by 0.2% YoY

Free Cash Flow (9M)1

7.8 Cr.

149% YoY*

Cash & Cash Equivalents2

55.4 Cr.

27% YoY* 11.7 Cr. YoY*

In INR

Continued revenue growth, investments in growth initiatives and continued increase in FCF & Cash & Cash equivalents

Note: (1) EBITDA, PAT and FCF have been adjusted for IPO Expense (reimbursable to the company) (2) Cash & Cash eq = Cash & Cash eqv + Investments & Bank Deposits + Security Deposit towards listing as on 31st Dec 2022. (*) Based on management’s estimates as on 31st Dec 2021

9M FY23: Financial Performance Summary Continued growth of revenue & profitability, increasing FCF

REVENUE

PROFITABILITY

OTHER

Revenue from Operations

57.8 Cr.

25% YoY

Total Income

60.1 Cr.

27% YoY

In INR

EBITDA excl IPO Expense1 1.9 Cr.

EBITDA Margin excl IPO Expense1 3.2%

3.6 Cr. YoY, up from (1.7) Cr. in 9M FY22

Margin expanded by 7.0% from (3.8)% in 9M FY22

Free Cash Flow (9M)1

7.8 Cr.

149% YoY*

PAT excl IPO Expense1 4.1 Cr.

PAT Margin excl IPO Expense1 7.1%

4.8 Cr. YoY, up from (0.7) Cr. in 9M FY22

Margin expanded by 8.6% from (1.5)% in 9M FY22

Cash & Cash Equivalents2

55.4 Cr.

27% YoY* 11.7 Cr. YoY*

9M FY23: Continued Revenue Growth Momentum

Revenue from Operations (in INR Cr.)

Total Income (in INR Cr.)

Historical Annual

25%

Historical Annual

27%

30% CAGR

27% CAGR

Revenue from operations grew at 25% YoY for 9M FY23

Note: (*) Total income adjusted for Fair value gain/ (loss) on CCPS for FY20 & FY21

9M FY23: Continued EBITDA Expansion

EBITDA excl. IPO Expense1 (in INR Cr.)

EBITDA Margin excl. IPO Expense1

Historical Annual

3.6 Cr.

Historical Annual

7.0%

Excluding non-cash ESOP expense this is 5.7 Cr.

EBITDA Margin (excl IPO exp.) expanded by 7.0% YoY for 9M FY23

Note: (1) EBITDA has been adjusted for IPO Expense (reimbursable to the company). Please refer to the P&L slide for the details

9M FY23: Continued PAT Expansion

PAT excl. IPO Expense1 (in INR Cr.)

Historical Annual

4.8 Cr.

PAT Margin excl. IPO Expense1

Historical Annual

8.6%

Excluding non-cash ESOP expense this is 8.0 Cr.

PAT Margin (excl IPO exp.) expanded by 8.6% YoY for 9M FY23

Note: (1) PAT has been adjusted for IPO Expense (reimbursable to the company). Please refer to the P&L slide for the details (*) PAT adjusted for Fair value gain/ (loss) on CCPS for FY20 & FY21

Significant Incremental Revenue continues to go into Bottomline

Revenue from operations

Δ - Incremental Revenue from Operations

EBITDA excl IPO Expense

Δ - Incremental EBITDA excl IPO Expense

Δ - Incremental EBITDA excl IPO Expense as a % of Δ Incremental Revenue from Operations

(in INR Cr.)

9M FY22

9M FY23

46.3

(1.7)

57.8

+11.5

1.9

+3.6

32%

Historical Annual:

FY20

37.3

FY21

43.8

FY22

63.5

+6.4

+19.7

(22.4)

(17.1)

+5.6

(1.9)

+15.1

84%

77%

Significant incremental revenue went into incremental EBITDA (excl IPO exp.) for 9M FY23

9M FY23: Expense Breakup

Total Expense (in INR Cr.)

Historical Annual

4% CAGR

16%

Total Expense - Breakup (for 9M FY23) (in INR Cr.)

Employee Benefit Expenses

49.4 Cr.

Salaries, Wages & Bonus

42.4 Cr.

Employee stock option expense

3.9 Cr.

Other Employee Benefit Expenses

3.1 Cr.

Depreciation Expense

Other Expenses

0.1 Cr.

6.5 Cr.

Cloud Hosting Charges

1.9 Cr.

Rent for Building

1.3 Cr.

Remaining Other Expenses

3.3 Cr.

88.2%

75.8%

6.9%

5.5%

0.2%

11.6%

3.4%

2.3%

5.9%

Total Expenses

56.0 Cr.

100%

● Bulk or 88% of total expense is emp. cost (this was 88%, 89% in FY21 & FY22) ● Cloud Hosting charges are the 2nd largest expense after emp. benefit expenses ● No large digital marketing spend for customer acquisition (since we are a data

company, we are able to use in-house content to generate organic traffic)

Select Recent Initiatives

1. Expanding coverage of Company Financials & Captables 1

● Currently cover private company financials across 15+ countries and captables

across 10+ countries

● Seeing demand for this data - especially from Private Equity (PE) and

Investment Banking (IB) segments among others

● For illustration - An investor is looking to scan an upcoming space like “single speciality hospital chain” or “D2C , Internet-first brands” in a particular country, and in addition to interesting companies, market landscape, also those with >50Cr. revenue scale

● Hence, increasing coverage of these datasets. Bulk of the increments required

for this (eg. team size increase) is already done

Private Company Financials

Currently across 15+ Countries

…

Private Company Captables

Currently across 10+ Countries

● We believe this will help us accelerate revenue growth and increase our

penetration within the customer segments especially PE & IB

…

Select Recent Initiatives

2. Increased Press Mentions: 2 Through various media partnerships, data contributions, reports, etc.

100+ Press Mentions across media*

Eg. Report coverage

Note: (*) in Q3 FY23

eg. Regular Columns in newspapers

eg. Others

Select Recent Initiatives

3. Others 3

●

Scaling of the Inside Sales Team spanning different geographies

● More people coming back to office - which has contributed to cost increment in rental and other overheads

●

Bulk of the increments required for these initiatives (eg. team size increase or rentals increase) is already done

● We believe these should also contribute to increased revenue momentum in future

●

Also, we expect bulk portion of the incremental revenue to continue going to the bottomline within the next 2-3Qs

9M FY23: Increasing FCF

FCF (Free Cash Flow) 9M FY23, Adjusted for IPO Expense Reimbursement1 (in INR Cr.)

4.7 Cr.

Cash & Cash Equivalents2 (in INR Cr.)

55.4 Cr. Added 11.7 Cr. YoY*

Historical Annual

FCF (Free Cash Flow) In INR Cr., Adj. for IPO expense

Year FY20

FY21

FY22

FCF

(15.4)

(6.1)

4.9

FCF continues to increase, in line with expansion trend seen across last 2yrs

Note: (1) Adjusted for IPO expense reimbursement and cash outgo towards Security Deposit towards listing as on 31st Dec 2022 (2) Cash & Cash eq = Cash & Cash eqv + Investments & Bank Deposits + Security Deposit towards listing as on 31st Dec 2022 (*) Based on management’s estimates as on 31st Dec 2021

9M FY23: Other KPIs (1/2)

Customer Accounts (#)

Users (#)

Historical Annual

15%

30% CAGR

Historical Annual

23% CAGR

15%

Note: Customer Accounts and Users are as on respective end of period

9M FY23: Other KPIs (2/2)

Contract Price (in INR Cr.)

Entities Profiled, on platform (in millions)

Historical Annual

31% CAGR

20%

Historical Annual

37% CAGR

24%

Note: Contract Price is net invoicing done in a given period adjusted for unbilled revenue for the period, till the time of measurement Entities Profiled are as on respective end of period

Global Customer Base

~70% international revenue in 9M FY23

Customers span over 50+ countries

Indian Revenue

International Revenue* 68%

Top 5 countries by #customer accounts: India, USA, UK, Singapore, Germany

Historical annual

International Revenue Share

Note: (*) Based on management’s estimates

Business Overview

Our Journey

Listed on

2021-22 - Became a publicly listed company on 20th Oct 2022

- Launched updated Home Dashboard with personalised feed

Current

- Among the Leading global market intelligence providers for private company data^ - One of the largest global coverage of private companies in the emerging technology sectors^

Ratan N Tata

Sachin Bansal Binny Bansal

NRJN Family Trust

2013-15 Platform Launched

2015-16 - ‘Top 100 Analytics Startups of 2015’ - Forbes - One of the ‘Coolest Startups of India’ - Business Today (2016)

2012

- Company incorporated

50+ Countries

2020-21 - Crossed customers in 50 countries - Launched advanced search feature within platform - Launched a collection of sector-based newsletters on the platform

2017-19 - Launched ‘Tracxn Score’, reports and live chat features - Launched personalised dashboards on our platform - Launched a portfolio tracker and an acquisitions database on our platform

Note: (^) According to “Global Information Services Market” report by Frost & Sullivan Timeline is basis calendar years

Significant cost advantages from India-based operations

N.America

S.America

Europe

Asia

Middle East

India

Africa

Significant cost advantage due to make-in-India. Especially:

● Data-production & technology platform is built from India

● Global sales happens from India

(sales & support teams work across all time zones)

Australia

●

Very efficient content-driven customer acquisition flywheel

These give us a significant and long-lasting cost advantage

Experienced Promoters & Board of Directors

Neha Singh

Chairperson and Managing Director

Abhishek Goyal

Vice Chairman and Executive Director

▪ B.Tech. & M.Tech. from IIT Bombay

& MBA from Leland Stanford Junior University

▪ Worked previously at BCG & Sequoia

Capital

▪ Recognitions

▪ Outstanding Woman (Business

▪

Outlook – 2016) ‘The 40 who matter in the Indian start-up ecosystem ‘(Mint – 2016)

▪ Part of ‘40 under 40’ (Fortune

India - 2018 & 2019)

▪ B.Tech. from IIT Kanpur

▪ Worked previously at Accel, 3i Infotech, Amazon, Yahoo, Andale & Erasmic

▪ Recognitions

▪ Part of ‘40 under 40’ (Fortune

India - 2018 & 2019)

Vivek Kumar Mathur

Non-Executive Nominee Director

▪ B.Engg. from BITS Pilani & MBA

from University of IOWA

▪ Partner at Light Ray Advisors

▪ Worked previously at Dell

International

Brij Bhushan

Independent Director

Nishant Verman

Independent Director

Payal Goel

Rohit Jain

Independent Director

▪ B.Tech. from Maharshi Dayanand

▪ B.S. from University of Michigan

University & PGP from IIM Bangalore

▪ Co-Founder & CEO of Smart

Technologies

& MBA from Northwestern University

▪ BA from University of Delhi & PGPM from ISB, Hyderabad

▪ Corporate Development Manager

▪ B.Tech. from IIT Delhi & MS from University of North Carolina at Chapel Hill

▪ Worked previously at Bain, Flextronics,

▪ Worked previously at Flipkart &

Infosys & Nexus India

Canaan Advisors

▪ Worked previously at Peepul

Capital, Aspada Investment & Flipkart

▪ Worked previously at Microsoft, IBM, Google & SAIF Partners

▪ CEO of Overleap Networks

at Google India

▪ Managing Partner at JSM Advisors

Supported by Senior Management Team Backed by Marquee Investors

Prashant Chandra

Chief Financial Officer

Amit Agarwal

Neeraj Chopra

Chief Operating Officer

Chief Technology Officer

Bhaskar Sharma

Chief Product Officer

▪ B.Tech. from IIT Kanpur & MBA

▪ B.Tech. from MNNIT-Allahabad &

from IIM Lucknow

MBA from XLRI

▪ Worked previously at Infosys &

Amdocs

▪ Worked previously at Amba research, Emanation, GS & Centrum

▪ MS from University of Pune ▪ Worked previously at Amazon, Decho, Arcot & Roam Space

▪ B.Tech. from IIT Kharagpur &

PGPM from ISB

▪ Worked previously at CEAT,

Nomura & FlexAlgo

Investors who backed us in private journey

Investors who backed us in IPO Anchor Book

Ratan N Tata Chairman Emeritus - TATA Sons

NRJN Family Trust

Sachin Bansal Co-Founder -Flipkart

Binny Bansal Co-Founder - Flipkart

Girish Mathrubootham Founder & CEO - Freshworks

Neeraj Arora VH Capital Ex-Whatsapp

Anand Rajaramnan Milliways Fund Founder - Junglee

Amit Ranjan Founder - Slideshare

Abakkus

BNP Paribas

Motilal Oswal

Nippon

ICICI Prudential

Reliance General Insurance

Kotak Mahindra MF

Tara Emerging Fund

Kotak Mahindra Life Insurance

WhiteOak Capital

Robust Technology Platform

Wide range of business and workflow tools – Inbuilt CRM tool, custom dashboard builder, tools for sourcing, tracking companies, portfolio tracking, API support, browser extensions, ability to save searches and provide alerts and export tools

Enterprise grade support – for customer queries with personalized support over chat, email and instant messaging applications

Scalable backend framework – based on open source technologies

Automated – based on web crawling and data engine to track millions of web domains, track data points across digital footprint of entities and add several companies to database

Flexible platform – aids launching of new features

Hosted on cloud servers – ensures minimum downtime

Advanced security – in-built security features provided by the cloud infrastructure provider

Virtual private cloud – allows to establish a secure internal network & a safe gateway to enable communication of internal resources

Industry grade HTTPS – for encrypted communication over the internet

Periodic checks – tools to periodically check on potential security threats

In-house data mining engine – automate discovery of new-age companies by tracking 600 mn+ domains across emerging technology sectors and sector classification of entities tracked

Multiple products introduced on platform since inception – soonicorn coverage, personalized dashboards, Tracxn Score, live chat, and others

Large & Growing Market

Multiple large companies have been created in the financial data markets

$30B+

Cumulative Revenue and of Financial Market Data Companies for 2021*

Note: (*) Revenue of financial market data companies has been calculated based on the publicly available sources for key public market data companies.

Large & Growing Market

Private Market AUM Growth1 (in USD trillion)

Public Market Capitalization2 (in USD trillion)

12.6% CAGR

11.7% CAGR

6% CAGR

Private market AUM has crossed $9T, and is growing at ~12%

Note: (1) According to Frost & Sullivan report (2) Source: World Bank, public market cap is of as on end of year (*) Estimated private market AUM numbers as in Frost & Sullivan report

Cumulative market capitalization of listed domestic companies across all the countries converted to USD

Q3 & 9M FY23 Detailed Financial Statements

Profit & Loss Statement (1/2)

In INR Cr.

Particulars

Income

Revenue from operations

Other income

Other gains/(losses) - net

Total Income

Expenses

Employee benefit expense

Depreciation expense

Other expenses

Total Expenses

Profit / (Loss) before tax and exceptional items

Exceptional Items - IPO Expenses

Profit / (Loss) for the period (PAT)

Q3FY23

Q2FY23

Q3FY22

9M FY23

9M FY22

FY22

20.25

0.25

0.45

20.95

16.98

0.06

2.48

19.52

1.43

(4.78)

6.21

19.11

0.55

0.42

20.08

16.25

0.04

1.96

18.25

1.83

0.29

1.54

16.43

0.26

0.12

16.81

13.68

0.02

1.99

15.68

1.13

0.05

1.07

57.77

1.07

1.28

60.11

49.41

0.12

6.48

56.01

4.10

(4.49)

8.59

46.30

0.80

0.39

47.50

43.22

0.12

4.84

48.17

(0.68)

3.80

(4.47)

63.45

1.10

0.61

65.16

58.57

0.15

6.80

65.51

(0.36)

4.49

(4.85)

Profit & Loss Statement (2/2)

In INR Cr.

Particulars

Profit / (Loss) for the period (PAT)

Less: Other Income

Less: Other gains/(losses) - net

Add: Depreciation expense

Add: Tax Expense

EBITDA

EBITDA Margin

Add: Exceptional items - IPO expenses, reimbursable

EBITDA excl IPO expense

EBITDA Margin excl IPO expense

Profit / (Loss) for the period (PAT)

Add: Exceptional items - IPO expenses, reimbursable

PAT excl IPO expense

PAT Margin excl IPO expense

Q3FY23

Q2FY23

Q3FY22

9M FY23

9M FY22

6.21

0.25

0.45

0.06

5.57

27.52%

(4.78)

0.79

3.92%

6.21

(4.78)

1.43

7.08%

1.54

0.55

0.42

0.04

0.61

3.19%

0.29

0.90

4.69%

1.54

0.29

1.83

9.55%

1.07

0.26

0.12

0.02

0.71

4.31%

0.05

0.76

4.62%

1.07

0.05

1.13

6.86%

8.59

1.07

1.28

0.12

6.37

11.02%

(4.49)

1.88

3.25%

8.59

(4.49)

4.10

7.09%

(4.47)

0.80

0.39

0.12

(5.55)

-11.98%

3.80

(1.75)

-3.78%

(4.47)

3.80

(0.68)

-1.46%

FY22

(4.85)

1.10

0.61

0.15

(6.41)

-10.10%

4.49

(1.92)

-3.02%

(4.85)

4.49

(0.36)

-0.56%

Definitions

(1)

(2)

(3) (4) (5)

(6)

(7)

(8)

(9)

Customer Accounts refers to the distinct contracts entered into by our Company with each customer, at the time of measurement. A customer account may include access for a single or multiple number of Users. Users refers to the number of activated user accesses on the platform at the time of measurement and does not include bulk users like university/educational institutes accounts Contract Price is net invoicing done in a given period adjusted for unbilled revenue for the period, till the time of measurement Entities Profiled refer to the profiles published and available on the platform to the user at the time of measurement. EBITDA is a non-GAAP financial metric, calculated as profit/(loss) for the period less Other Income and Other gains/ (losses) - net and add Depreciation and Amortization Expenses, Finance Costs, if any, and Tax Expense EBITDA excluding IPO expense is a non-GAAP financial metric, calculated as EBITDA less Exceptional items - IPO expenses, reimbursable to the company PAT excluding IPO expense is calculated as profit/(loss) for the period less Exceptional items - IPO expenses, reimbursable to the company PAT excluding IPO expense and CCPS is calculated as profit/(loss) for the period less Exceptional items - IPO expenses, reimbursable to the company and Fair value gain/ (loss) on CCPS measured at fair value through profit or loss. Fair value gain/ (loss) on CCPS adjustment has been made only for FY20 & FY21 in this presentation Free Cash Flow is calculated as Net Cash Flow from/ (used in) Operating Activities less Capex (payments for purchase of property, plant and equipment)

Thank You

Tracxn Technologies Limited has informed the Exchange about Investor Presentation

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